Davos results inconclusive

The world is experiencing a statistical economic recovery, but a human recession. That is how United States President Barack Obama’s economic adviser Larry Summers, at the World Economic Forum in Davos, Switzerland, aptly described the global economic scene in the face of tentative signs of its emerging from the worst recession in more than 70 years. There were plenty commitments but few concrete plans on the table at the end of the four-day summit, with probably the only clear result that the world is heading for stronger regulation of the financial industry aimed at averting a next crisis and saving powerful politicians’ bacon.

Read more: Bank regulation

Dealing with financial aftershocks

While there are increasing signs that the world is emerging from the deep 2008/2009 economic recession, there are also plenty of signs that the impact of the recession will be felt for a long time to come – among others, in the fundamentals of how the economy is structured and in the realm of the regulatory environment. For now, major banks at the recently held meeting of the World Economic Forum apparently have softened their stance on regulation, but it is becoming clear that new accounting standards to simplify financial asset reporting and make it more transparent are likely to be of the first new regimes of the post-recession world.

Read more: Asset management

New order for BANKSETA Council

The BANKSETA has appointed Eugene Ebersohn as its new Council chairperson. As Sipho Ngidi’s tenure as BANKSETA chairperson ends, he has handed over the reins to the finance union SASBO’s assistant general-secretary, who has also practised labour relations after completing his studies at the University of Pretoria. was asked to fill the role.

Read more: Banking skills

Global overhaul of regulation begins

The push to reform and overhaul financial regulation globally in the wake of the financial crisis – which has seen the world economy plunged into the worst recession in 70 years – took a major step forward last week. The Organisation for Economic Co-ordination and Development (OECD) announced an agreement on a policy framework for effective and efficient financial regulation.

Read more: Financial regulation